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An economy has a fixed price level, no imports, and no income taxes. MPC is 0.75 and real GDP is $300 billion. Businesses increase investment

An economy has a fixed price level, no imports, and no income taxes. MPC is 0.75 and real GDP is $300 billion. Businesses increase investment by $20 billion. The new level of real GDP is

a.$320 billion.

b.$20 billion.

c.$5 billion.

d.$380 billion.

e.$300 billion.

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